In a recent update from Socketsite.com on October 26, 2023, the San Francisco real estate market is showing interesting trends. Contrary to some reports of “record low inventory levels,” the market has hit its annual peak with a 6 percent reduction in available single-family homes and condos compared to the previous year. However, it’s worth noting that there are still 36 percent more properties on the market than before the pandemic. This number is nearly three times higher than in October 2015 and 30 percent above the historical average. These statistics challenge some misanalysis of the market and indicate a different reality.
Additionally, there’s a noticeable increase in listings that have undergone price reductions, with 35 percent of properties experiencing at least one price cut. This trend is expected to continue throughout the year. Concurrently, the pace of sales has dropped to a lower six-plus-year low, and there’s an uptick in unsold properties being withdrawn from the MLS. Most of these are likely to reappear on the market in the spring. These insights from Socketsite.com provide a nuanced view of the San Francisco real estate market, which may surprise some readers who have been following the market closely.
[Original Source: Socketsite.com – “Inventory Levels in S.F. Have Peaked, Reductions on the Rise” – October 26, 2023]